Driving value from M&A in the shale revolution
In March 2020, Deloitte developed this research report exploring the latest in shale oil news and shared a roadmap for extracting more value from shale mergers and acquisitions. We now expect that the plunge in oil prices and COVID-led demand uncertainty will likely pause and change the calculus of M&A activity in shales. Although consolidation might be a necessity for many US shale operators to survive or thrive, creating value from acquisitions hasn’t been easy in the past, and it could get tougher in 2020. With more than 50% of top shale deals destructing value during 2014-2019, buyers should have a solid pre-merger engineering and value-creation plan for their targets, and dealmakers should fine-tune their conventional valuation models.
Read the report to learn about the history of shale deals and how companies can create a future-proof acquisition strategy and a renewed focus on operational excellence.
This is such great information!
Don’t miss the M&A in shales driver road map! Explore partnerships that are capex-light and data-heavy and that maximize utilization of combined resources. – oil country media